DL Sitorus, founder and owner of Torganda Group, passed away last Thursday (Aug 3) when he was just on board of Garuda Indonesia flight from Jakarta to Medan, North Sumatra. DL Sitorus leaves behind a wife and five children plus some controversies surrounding plantation assets and some land deals.

Sun Motor Group, controlled by Sundoro Family, is known for its automotive business. According to the group’s website, the group now operates more than 60 outlets for Mitsubishi, Nissan, Suzuki, Chevrolet, Hino, Toyota, Renault in various cities in this country. Other than automotive, the group is also engaged in finance (PT Sunindo Parama Finance), car rental (PT Sun Utamadiyan Nusa), and property business. In this issue let’s talk about their property business.

Eight years ago, the British American Tobacco (BAT) acquired majority shares of PT Bentoel International Investama Tbk (RMBA) from Peter Sondakh’s Rajawali Group at enterprise value of Rp5.88 trillion. Peter walked away with Rp3.35 trillion for his portion of the shares. BAT then merged RMBA with PT BAT Indonesia.

Media outlets have generally pointed to Salim Group as owner of Bank INA Perdana (BINA), a small bank with total assets of Rp2.9 trillion only. Salim’s name contributed to around 600% gain in BINA shares year-to-date. At the current price, Bank INA already has market ‘value’ of Rp6.8 trillion or 5.7 x equity as at June 30.

Bumi Resources (BUMI), the largest coal producer in Indonesia, booked net profit of US$162.25 million in the first half of 2017 against loss of US$20.8 million in the same period of 2016. But, this is not exceptional, because most of the profit was attributable to ‘other income’ of US$126 million.

Kuta, Nusa Dua, Jimbaran, Uluwatu, Sanur, Petitenget, Ubud, and Tanah Lot are famous tourist destination located in southern part of Bali Island. Menjangan, Pemuteran, and Lovina beach in northern part of the resort island, are also famous worldwide, but difficult access resulted in big gap with south part of the island.

Bank Mayapada (MAYA), co-owned by Dr Tahir (owner of Mayapada Group) and Taiwanese company Cathay Life Insurance Co Ltd, is the fastest growing bank in the country. In the first six months of this year, the bank’s total assets expanded by 16.6% to Rp70.9 trillion. This, however, forced shareholders to inject more to grow the equity because capital adequacy ratio (CAR) declined significantly.

Telkom (TLKM), the state-owned ICT company, which is now the largest company on Indonesia Stock Exchange (IDX) by market capitalization, booked net profit of Rp12.1 trillion in the first half of 2017, an increase of 21.9% from the corresponding period 2016. While sales revenue grew higher in the second quarter, profit margins were substantially smaller. In fact, Telkom’s net profit in the second quarter inched up 1.4% only year-on-year.